Guidance on ED Form 799

The U.S. Department of Education (ED) recently issued a Dear Colleague letter (DCL) providing guidance on the filing of the Lender’s Interest and Special Allowance Request and Report (ED Form 799) (please see attached). This letter provides instructions for reporting changes required by the Omnibus Budget Reconciliation Act (1993) and the Emergency Student Loan Consolidation Act of 1997. Information on how the Debt Collection Improvement Act of 1996 affects the receipt of payments as well as various lender reporting issues are also addressed in the DCL.

Specifically, this DCL covers:

• New Loans Disbursed After July 1, 1998
• Emergency Student Loan Consolidations
• New Special Allowance Codes for Some 8/10% Loans
• Part V, Line 10-ED Form 799
• Debt Collection Improvement Act of 1996
• Electronic Lockbox Payments
• Automated Voice Response System and the Web Site
• Year 2000
• Notes From the Interest Payment Processing Center

Any questions regarding this DCL may be directed to the UHEAA Policy and Training Department at (801) 321-7166.

Attachment